Within his recently unveiled autobiography, titled Ithaki, the former premier Alexis Tsipras does not hold back as he reflects on that turbulent period of Greece's debt drama.
An Unconventional Choice
According to the ex-PM's version, he selected that unorthodox academic Varoufakis to be the treasury head primarily due to his global profile along with his “extremely attractive” skills as a public orator.
“In reality, he was, truthfully, more of a celebrity and less of an economist,” recalled the 51-year-old.
Clashing Priorities
The former leader alleges how Varoufakis had his own motives that involved advancing his publications and testing out his theories on the nation rather than genuinely advocating its financial survival.
Tsipras noted how the discussions to stave off bankruptcy became “not only a method to secure improved terms for the country. They were a test, an historic opportunity to demonstrate the validity of Varoufakis's economic theories.”
High-Stakes Negotiations
Amid rollercoaster negotiations, the country came dangerously on the brink of leaving the eurozone.
On the line lay not only Greece's destiny and the harsh cutbacks required in return for financial aid by international creditors.
Failed Options
Attempts to secure funds elsewhere, such as an urgent plea to Russia to buy Greek bonds, were rejected.
Helping Greece would be tantamount to throwing money into the garbage, Putin is reputed to have told Tsipras in Moscow.
Public Vote and U-Turn
In July 2015, the punitive conditions were put to a popular referendum, a move which threw the EU into a further existential crisis.
Even though the referendum was won decisively by voters against the cuts, Tsipras had little option but to reject its outcome and agree to a bailout package from creditors which turned out to be more severe.
Final Straw
Tsipras claimed how he began to doubt his finance minister relatively soon.
“Varoufakis was the public image of the talks, the figure who attracted media attention, who appeared on the covers of publications the world over … it seemed he relished his new role.”
When the minister proposed a contingency plan that included establishing a secondary currency and distributing coupons to pensioners, Tsipras said he realised that it was the end questioning him: “Can you be serious?”
Lasting Criticism
In the memoir, Tsipras asserts how his former ally demonstrated himself “unfit for a deal that required complex and sensitive handling.”
Tsipras also wrote how his aggressive style left him increasingly isolated with colleagues, endangered the country, and helped hardliners that were advocating Grexit.
The retelling of history has been met with anger and stunned disbelief among certain groups, whereas Varoufakis has so far maintained a deafening silence regarding these claims.